Barriers and enablers in adopting of Halal warehousing

Abstract

Purpose

This paper aims to identify the determinants of the adoption factors of Halal warehousing activities among Halal manufacturers in Malaysia. It is hoped that this work would contribute to the growth of research in the area of Halal adoption services.

Design/methodology/approach

The data for this quantitative study were gathered from 140 participants of the Malaysia International Halal Showcase 2013. Smart PLS version 2.0 was used to analyze the relationship of each construct using the structural equation modeling approach.

Findings

Awareness, complexity and top management support were found to be the determinant factors in the Halal warehousing services adoption among Malaysian Halal manufacturers. Supplier availability was found to have a negative relationship in the adoption of Halal warehousing services.

Research limitations/implications

The findings of this study revealed some important implications and great values among researchers, Halal service providers and the government sector. It is also hoped that the findings of this study would give some insights into the adoption of Halal warehouse services. However, many other variables such as perceived benefits, consumer pressure and, also, industry pressure which may also contribute to a better understanding of Halal services should also be considered.

Practical implications

The Halal service providers should focus their offer of services not only to areas around Kuala Lumpur and Selangor but also to other areas in Malaysia. There is a great demand for their services throughout the whole nation, as the Halal manufacturers are scattered all over East and West Malaysia.

Originality/value

This study is an attempt to investigate and develop the Halal warehousing adoption model that was theoretically grounded in the technology, organization and environment (TOE) framework. This study found that the TOE framework could explain better each variable which has a relationship with the adoption of Halal warehousing activities.

Citation

Ngah, A.H., Zainuddin, Y. and Thurasamy, R. (2015), "Barriers and enablers in adopting of Halal warehousing", Journal of Islamic Marketing, Vol. 6 No. 3, pp. 354-376. https://doi.org/10.1108/JIMA-03-2014-0027